TRANSACTIONS 1970 REPORTS OF MORTALITY AND MORBIDITY EXPERIENCE REPORTS OF THE COMMITTEE ON MORTALITY UNDER ORDINARY INSURANCES AND ANNUITIES

Transcription

1 TRANSACTIONS OF SOCIETY OF ACTUARIES 97 REPORTS TRANSACTIONS 97 REPORTS OF MORTALITY AND MORBIDITY EXPERIENCE REPORTS OF THE COMMITTEE ON MORTALITY UNDER ORDINARY INSURANCES AND ANNUITIES I. MORTALITY UNDER STANDARD ORDINARY INSURANCE S BETWEEN 967 AND 968 ANNIVERSARIES ABSTRACT This is one in a series of annual reports on intercompany mortality experience under Standard Ordinary life insurance policies. The included tables, based on data contributed by eighteen large life insurance companies, show amounts exposed to risk, actual death claim amounts, and expected death claim amounts (based on the most recent intercompany mortality tables--the Basic Tables). Ratios of actual to expected deaths are also shown. This report cs the one year of mortality experience between 967 and 968 policy anniversaries and the five years of experience between 963 and 968 policy anniversaries. The mortality experience between 967 and 968 anniversaries, excluding war deaths, shows a slight increase the previous study. This increase is evident in each of the three principal divisions of the study: medically examined issues of the fifteen most recent policy years, nonmedical issues of the fifteen most recent policy years, and all issues of sixteen or more policy years. Recent nonmedical issues observed between 963 and 968 anniversaries continue to show higher -all mortality than comparable medical issues, with the greatest difference at issue ages 5 and. Female mortality on all issues continues to average about 6 per cent of male mortality. INDEX OF TABLES Table Description. Medically Examined Issues, , Male and Female Lives Combined, by Age at Issue. Medically Examined Issues, , Male and Female Lives Combined, by Policy Year 3. Nonmedical Issues, , Male and Female Lives Combined, by Age at Issue

2 COMMITTEE ON MORTALITY--ORDINARY Table Description 4. Nonmedical Issues, , Male and Female Lives Combined, by Policy Year 5. Comparison of Medical and Nonmedical Experience, Male and Female Lives Combined, Exposed , by Age at Issue and Duration 6. Ultimate Data, Sixteenth and Subsequent Policy Years, Male and Female Lives Combined, by Attained Age 7. Comparison of Medical and Nonmedical Experience, Male and Female Lives Combined, Exposed , by Attained Age 8. Comparison of Premium-paying and Fully Paid-up Policies, Male and Female Lives Combined, Exposed , by Attained Age 9. Comparison of Male and Female Mortality on Medically Examined Issues, Policy Years -5, Exposed , by Age at Issue. Comparison of Male and Female Mortality on Nonmedical Issues, Policy Years -5, Exposed , by Age at Issue. Comparison by Sex of Medical and Nonmedical Experience, Exposed , by Age at Issue and Duration. Comparison of Male and Female Mortality, Sixteenth and Subsequent Policy Years, Exposed , by Attained Age A~ Contributing Companies, Proportion of Total Exposures B. Medically Examined Issues, Male and Female Lives Combined, by Issue Year and Age at Issue C. Nonmedical Issues, Male and Female Lives Combined, by Issue Year and Age at Issue D. Medically Examined Issues, Male and Female Lives Separately, by Issue Year and Age at Issue E. Nonmedical Issues, Mate and Female Lives Separately, by Issue Year and Age at Issue INTRODUCTION T ins report cs the intercompany experience under Standard Ordinary insurance issues between 967 and 968 anniversaries. It reviews in turn the mortality experience under:. Standard Ordinary insurance issued subject to a medical examination, observed during each of the first fifteen policy years;. Standard Ordinary insurance issued without a medical examination, observed during each of the first fifteen 9olicy years; and 3. Standard Ordinary insurance observed during the sixteenth and subsequent policy years. As in previous reports, this experience is shown for medical and nonmedical issues combined, with a portion of it shown for medical and nonmedical issues separately. An additional table comparing experience under premium-paying and fully paid-up (excluding reduced paid-up) policies has been included.

3 STANDARD ORDINARY INSURANCE 3 Aggregate mortality ratios, excluding war deaths, for each of the above three areas have increased slightly. In previous studies the trend had been toward slight decreases in mortality ratios for all three areas. Select medi- cal mortality has increased from 93. per cent of expected last year to 94. per cent for the study. The select nonmedical mortality ratio has increased from 7. to 9.9 per cent and the mortality ratio for ultimate experience increased from 94.3 to 95.5 per cent. The aggregate mortality ratio, including war deaths, for select medical business increased from 93.9 to 95. per cent in the study, and for nonmedical business there was an increase from 9.9 to 8.3 per cent. Because of the significance of war deaths (see definition in Appendix II), all tables have been adjusted to exclude or to show separately the war deaths incurred between anniversaries in 967 and 968. In Tables 5, 7, 9,, l, and, the war deaths are excluded between 964 and 968 anniversaries only, since war deaths reported between 963 and 964 comprised less than per cent of all the war deaths reported between 963 and 968 anniversaries and were not available in suitable form. The following tabulation shows the war deaths and the ratio of war deaths to total deaths experienced between 963 and 968 anniversaries: WAR DEATHS AND THE RATIO OF WAR DEATHS TO TOTAL DEATHS EXPERIENCED BETWEEN 963 AND 968 ANNIVERSARIES MALE LIVES EXCEPT AS INDICATED FOR (Amounts Shown in $, Units) EXPOSURE YEAR Medical FIRST FIFTEEN POLICY YEARS Nonmedical* SIXTI~ENTH AND SITBSEQUE~ T POLICY YEARSt Amount Ratio Amount Ratio Amount [ Ratio $3,56,774, %.7.4. $,83 4.3% 9,68.8 5, $ 75.% Total... $8,4o8.5% $8, % $,43 * Female war deaths of $, for , $8,5 for , and $5, for are included. t Female war deaths of $, for are included. Negligible.

4 COMMITTEE ON MORTALITY--ORDINARY The names of the eighteen contributing companies and their propor- tionate contributions to the total exposure are given in Table A of Appendix I. The exclusion of the data of one company which was unable to contribute their experience to this report does not appreciably affect the -all results. EXPERIENCE UNDER STANDARD S DURING THE Medically Examined Issues FIRST FIFTEEN YEARS OF INSURANCE The current experience during the first fifteen policy years is based on an exposure of $8,684,96,(O and actual claims of 8347,44,. This represents a decrease in the exposure from the preceding year of 7.4 per cent, all of which was due to the exclusion of the data from one contributor in the current study'. Not included in the al:)ove claim total were 39 policies, representing $3,56, in claims, reported as deaths resulting from operations of war between 97 and :968 anniversaries. 'Fhe Male, Female, and Male and Female (7ombincd Sclec; Basic Tables (TSA, 96 Reports, p. 44, and 963 Reports, p. 4)) were used to calculate expected deaths separately for the male experience, female experience, and experience reported without subdivision by sex. The expected deaths for these three classes of experience were combined and mortality ratios were calculated excluding and including war deaths. The results by age group at issue are shown in Table for the first tifteen policy years combined. The experience by year of issue is presented in Table. The detailed experience by age groups at issue for each vear of issue is set forth in Table B of Appendix I. The aggregate mortality ratio, excluding war deaths, for the period from 967 to 968 anniversaries was 94. per cent. The fouowing tabu- lation shows how this result compares with previous studies based on the Basic Tables: Aggregate Exposure Year Mortality Ratio %

5 STANDARD ORDINARY INSURANCE 5 In the current study, issue age group again has a high mortality ratio (65. per cent). Although the exposure here was small, it should be noted that issue age has had high mortality ratios in past studies. Table 9, which appears later, shows a mortality ratio of 54.6 per cent for males and 7. per cent for females, issue age, exposed between 963 TABLE STANDARD MEDICALLY EXAMINED S OF 953 TO 967 MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) EXqJERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY AGE AT POLICY YEARS -5 COMBINED Expected on Select Basic Tables (Amounts Shown in $, Units)... I Z-4. Z AGES AT and.. All ages.. EXPOSED TO RiSK 9,65 36,769 9,93 566,53 835,93,9,78 7,8,97 4,859,797,3,46.,34,66.. 7,958,445,7,7 5,747,37..,487, ,95.. 4, ,665 ACTUAL DEATHS Excluding $ ,49,53 6,94 5,855 35,839 55,389 68,54 63,573 46,3 9,6 4,478 5,646,44 $ , $8,684,96 $347,44 $3,56 EXILE CTF.D DEATRS $ ,46 7, 6,94 35,655 59,67 73,665 67,58 5,68 3,954 5,668 5,47,343 $368,77 MORTALITY RATIO Excluding Including 65.% 65.O~o % 95.% and 968 anniversaries. Mortality ratios between 967 and 968 anniversaries (excluding war deaths) for issue age groups, -4,, and -4 were.6, 58.3, 64., and 7.4 per cent, respectively. deaths increased the mortality ratio for the issue age group by 49.6 percentage points and for issue age groups -4,, and

6 6 COMMITTEE ON MORTALITY--ORDINARY --4 by 6.4, 34.9, and 6.3 percentage points, respectively. deaths caused an increase of. percentage points in the all-ages mortality ratio, compared with an increase of.7 percentage points in last year's study and.4 percentage points two years ago. Mortality ratios by year of issue (excluding war deaths) ranged from TABLE STANDARD MEDICALLY EXAMINED S OF 953 TO 967 MaLE AND FEMaLE LWES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY YEAR OF ALL AGES COMBINED Expected on Select Basic Tables (Amounts Shown in $,(DO Units) &CTUA I. DkA'[B S MORTA I IT', R~ Tit VEALS t,]~ i POLICY EXPOSED [ Issc'E Y~R TO Risk Excluding [ ,,--4,368 $,6 $ ,653,689 3, [ ,553,675 6,94 3 i ,45,76 6,67,46 6,9 7, ,59,746 8, ,84,46 6, ,6,966 3, ,34.6,77, ,69,6 8,86,677 9,9, ,5,3,736,485,63, ,68,95 3,577,64 8,66 7, EgI~ECTED Exclud- DEATHS lag ' lnclud ing ~A'ar $ 4,54 9.6% 9.9~i 5,776 8, ,89 8, , ,73l , , , , , ,46, ,.. All years of issue... $8,684,96 $347,44 $3,56 $368,77 94.% 95.~ 88.7 per cent for 964 (policy year 4) to. percent for 967 (policy year ). The following tabulation gives an indication of the variation in the aggregate mortality ratios of the contributing companies from the allcompany average of 94. per cent. deaths were excluded in determining these ratios.

7 STANDARD ORDINARY INSURANCE 7 Percentage points below average: More than Percentage points above average: Number of Companies Proportion of Actual.9% O--S N o n m e d i c a l Issues The current experience during the first fifteen policy years is based on an exposure of $65,879,794, and actual claims of $76,778,. This represents a decrease in the exposure from the preceding year of.7 per cent, all of which was due to the exclusion of the data from one contributor in the current study. Not included in the above claim total were,76 policies, representing $,83, in claims resulting from operations of war and reported as deaths between 967 and 968 anniversaries. Expected deaths were calculated on the Select Basic Tables in the same manner as for medically examined issues. These tables were based on experience under medical issues, except that nonmedical issues were included for issue ages under 5. For all age groups combined, nonmedical business now comprises 37.7 per cent of the total experience on recent Ordinary issues, measured by the exposures during the first fifteen policy years, as compared with 36.3 per cent last year. For all age groups combined, the proportion of nonmedical issues in the first policy year for was 43. per cent, compared with 39.7 per cent in last year's report. The following tabulation shows nonmedical exposures as a percentage of total exposures, by age group at issue, for experience between 967 and 968 anniversaries: NONMEDICAL EXPOSURES AS PERCENTAGE OF TOTAL EXPOSURES Policy Years Ages at Issue Policy Year and All ages % , 43.% 8.8% %

8 8 COMMITTEE ON MORTALITY--ORDINARY The mortality ratios for nonmedical issues are presented in Table 3 by age group at issue for the first fifteen policy years combined. The aggre- gate ratio, excluding war deaths, for the period from 967 to 968 anniver- saries was 9.9 per cent. The following tabulation shows how this result compares with previous studies based on the Basic Tables: Aggregate Exposure Year Mortality Ratio C7~ TABLE 3 STANDARD NONMEDICAL S OF 953 TO 967 MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY AGE AT POLICY YEARS -5 COMBINED Expected on Select Basic Tables (Amounts Shown in $, Units) ACTUAL DEATHS MORTALITY RATIO AGES AT EXPOSED TO RISK Excluding EXI~ECTED DEATtIS* Excluding * Includins *... i ~ and $,537, ,66,96,3,66,574,493,7,979,73 8,5,87 5,68,97 8,89,979 3,64,56 65,47 4,6 3,4 $,8 $ ,33, 6,383 5,58 4,59,556, ,575 4,564,49 5O $, ,89 9,846 5,77 4,474 3,38 9,68, % 89.8% All ages. $65,879,794 $76,778 $,83 $69, % 8.3% * Exposures not adjusted for distribution by age within each five-year age group at issue.

9 STANDARD ORDINARY INSURANCE 9 In the current study, the mortality ratio for issue age group continues to be high (3. per cent), even when war deaths are excluded. Exclusion of war deaths has a greater effect on nonmedical issues than on medical issues, with issue age group and the -all nonmedical mortality ratio being increased by 56.6 and 8.4 percentage points, respectively, if war deaths are included. deaths increased the -all nonmedical mortality ratio in last year's report by.9 percentage points. The mortality ratios in Table 3 understate somewhat the death rates for nonmedical business because, in calculating the expected deaths, no adjustment was made for the fact that the average ages of the exposures under nonmedical issues for issue age groups, 4-44, 45-49, and 5 and are younger than the average ages of the exposures for these age groups in the medical experience entering into the Basic Tables. This situation arises because the maximum age at which nonmedical business is issued by the various contributing companies falls at 35, 4, 45, or 5. Thus, the nonmedical exposures beyond these ages tend to fall off sharply. It is likely that a further understatement arises from the general practice of reducing nonmedical amount limits in steps of $5, or $, beyond ages such as 35 and 4. An indication of the extent to which Table 3 understates the true mortality on nonmedical business is given in the following tabulation, which shows mortality ratios adjusted for the distribution of exposures by age within each five-year age group at issue. Only the nonmedical age limits of the contributing companies were considered in making this adjustment; the reductions iri amount limits mentioned above were not considered. MORTALITY RATIOS ON NONMEDICAL S OF EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY AGE AT POLICY YEARS -5 COMBINED (Expected on Select Basic Tables) MORTALITY RATIOS AGES AT Unadjusted Adjusted and... Ages 35 and %.% , %.9%

10 COMMITTEE ON MORTALITY--ORDINARY The unadjusted mortality ratios understate the true mortality on nonmedical business to a significant degree at issue ages Except for one company, whose limit for nonmedical issues was age 5 until 959, nonmedical issues at ages 45-49, and especially at ages 5 and, are largely business issued under special circumstances (such as pension trust and salary allotment plans), which do not appreciably affect the distribution of exposures by age within each five-year age group at issue. So-called "policyholder's nonmedical," issued on the basis of a previous medical examination within six or twelve months, is also included for some cornpanics; others include it in their medical issues. The nonmedical mortality ratios by year of issue for all ages at issue combined during the period from 967 to 968 anniversaries are presented in Table 4 on an unadjusted basis. The highest mortality ratio by year of TABLE 4 STANDARD NONMEDCAL S OF 953 TO 967 MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY YEAR OF ALL AGES COMBINED Expected on Select Basic Tables (Amounts Shown in $, Units) ACTUAL DE.ATHS MORTALITY RATIO YEAR OF POLICY EXPOSED EXPECTED YEAR TO RXSK Excluding Drnt ~as * Exclud- Includ- ing! ing * * All years of issue... $,46,796 $ 3,36 $ 79 3,46 98.%.4~,455,74,73 67, ,696,847,9 74, ,84, 4,34 6 4, ,553,786 6,7 99 6, ,576,63 5, , ,7,63 5, , ,87,7 4, , ,8,83 4, , ,37,335 4,57 8 4, ,9,749 5,4-4.3, 4, ! 38. 6,7,774 6,68,,3 5, ,99,99 7,3 ',35 5, ,455,3 6,47 ~,675 5, ,66,648 8,445,448 6, $65,879,794 $76,778i $,83 $69, % 8.3~ * Exposures not adjusted for distribution by age within each five-year age group at issue.

11 STANDARD ORDINARY INSURANCE issue (excluding war deaths) was 3. per cent for issue year 967 (policy year ). Mortality ratios for policy year have tended to be high for the last five experience years. The mortality ratios for issue years (policy years -5) are also high, ranging from 4.7 to 6.3 per cent. deaths have had their greatest impact on nonmedical experience during the very recent years of issue. This continues to be true when the data by year of issue are analyzed to compare only the ages at which most of the exposure to war occurs, approximately attained ages The details of the unadjusted experience by age groups at issue for each year of issue are set forth in Table C of Appendix I. The following tabulation gives an indication of the variation in the aggregate mortality ratios of the contributing companies from the allcompany average of 9.9 per cent. deaths were excluded in determining these ratios. Number of Companies Proportion of Actual Percentage points below average: More than....4% Percentage points above average: Comparison of Medical and Nonmedical Experience It would be desirable to compare the nonmedical experience with an experience on strictly comparable policies issued with a medical examination, but data for such a comparison are not available) Table 5 presents side by side the experience on medical and nonmedical issues as reported to the Committee for the five-year period from 963 to 968 anniversaries. The Male, Female, and Male and Female Combined Select Basic Tables, respectively, were used to calculate expected deaths for the male Four factors, among others, that should be considered in the comparisons presented in this study are the following: (a) the relative proportions of medical and nonmedical business differ among companies (see Appendix I, Table A); (b) the underwriting standards of the contributing companies differ; (c) the age distributions of each type of business differ; and (d) the proportions of business applied for nonmedically but issued subject to medical examination and then classified as medical business differ among companies.

12 COMMITTEE ON MORTALITY---ORDINARY experience, female experience, and experience reported without subdivi- sion by sex. deaths have been excluded from the experience. The nonmedical mortality ratios shown in Table 5 have been adjusted to reflect the approximate distribution of nonmedical exposures by age for issue age groups and higher. The lower half of Table 5 shows that, TABLE 5 COMPARISON OF MEDICAL AND NONMEDICAL EX.~ERIENCE* MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) BETWEEN 963 AND 968 ANNIVERSARIES BY AGE GROUP AT AND DURATION (FIRST FIFTEEN POLICY YEARS) POLIt?Y YEARS AGE GROUP AT , and All ages - I ~-S 6 I -5-5 i ' I l Non- Non Medi Medimedi- medical i ca[ ~, ] cal % col % % 9... Si- -Sf ~ I I 8 96 l9t ~ 94 I { 87 3t I 96 I t 9 76 J 95 I 7t 96 5 t t Mortality Ratios on Select Basic Table ~di Non- Medi- Non [ medi- medial cal cal ca ~ % % % O 96 O , lot 93 7 t t l3"t t t_ t 96 7t 96 3t Medical % NOrth medical % t ol o~ 3t logt Ratio of Nonmedieal to Medical Mortality Ratios and ove 7~ 'I" 5t 83t 54t 58% t 5t 34~ 78t 58% llst 4t 8t ~5t 63% t 7t 8t lot 63% t 4~ 6t tt * Excluding war deaths between 964 and 968 anniversaries. t Exposures adjusted for distribution by age within each five-yeal age group at issue.

13 STANDARD ORDINARY INSURANCE 3 for policy years -5 combined, non_medical mortality exceeds medical mortality appreciably at all issue ages 5 and ; the excess ranges from about 9 per cent at issue ages 5-34 to about 6 per cent at issue ages Over the past few years, the trend of the ratio of nonmedical to medical mortality has been to increase slightly for the important nonmedical issue age group 5-39, policy years -5 combined. EXPERIENCE UNDER STANDARD S DURING THE SIXTEENTH AND SUBSEQUENT POLICY YEARS The current experience during the sixteenth and subsequent policy years is based on an exposure of 844,94,494, and actual claims of $79,789,, excluding war deaths. This represents a decrease in the exposures from the preceding year of 6.6 per cent, all of which is due to the exclusion of the data from one contributor in the current study. resulting from operations of war between 967 and 968 anniversaries amounted to 449 policies, representing $75, in claims. While war deaths had a small effect on the all-ages mortality ratio, a few age cells showed a rather large proportion of war deaths: the -4 attained age group mortality ratio was 7.8 per cent excluding war deaths and 5.8 per cent including war deaths; the group showed.8 per cent and 5.5 per cent; and the group showed 85. per cent and 96. per cent. Mortality ratios based on () the Ultimate Basic Tables (Male, Female, and Male and Female Combined, respectively, for the male experience, female experience, and experience reported without subdivision by sex), () the Commissioners 94 Standard Ordinary Mortality Table, and (3) the Commissioners 958 Standard Ordinary Mortality Table are presented in Table 6 by attained age groups. The aggregate mortality ratio (excluding war deaths) on the Ultimate Basic Tables for the period from 967 to 968 anniversaries was 95.5 per cent. The following tabulation shows how this result compares with previous studies based on the Basic Tables. Aggregate Exposure Year Mortality Ratio %

14 4 COMMITTEE ON MORTALITY---ORDINARY The tabulation below gives an indication of the variation in the aggre- gate mortality ratios of the contributing companies from the all-company average of 95.5 per cent. deaths were excluded in determining the ratios. Number of Companies Proportion of Actual Percentage points below average: Percentage points above average: % l 63.9 TABLE 6 STANDARD S DURING SIXTEENTH AND SUBSEQUENT POI.ICY ~'EARS MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY ATTAINED AGE ALL POLICY YEARS COMBINED (Amounts Shown in $, Units) ATTAINED AGES EXPOSED TO RISK ACTUAL DzA~as Exclud- ing ] UL rin.a TE BASIC TABLE ' Moa- MOR- TALITY* TALITY ~ Mortality Ratio RATIO. RATIO os 94 ON 95~ Expected I CSO CSO Exclud- Includ- I TAnLE TABLE ing ing I5~9... $ 863, , , ,6...,34,45 t ,43,53 t ,858, ,96, ,6, ,5, ,984, ,83, ,634,9 g , ,43 ) ,76 $ 649 $95 $ 644.8%5.5% 33.3% 46.6~ , 5, , , ,84 6, , , ,4 56, ,7: 9 9, ,36 4, ,7 3 6, ,58 36, ,944' 8, ,688 8, ,384 36, ,758, All ages $44,94,494 $79,789 $75 589, % 95.6% 6.3% 79.6~ * Excluding war deaths between 967 and 968 anniversaries.

15 STANDARD ORDINARY INSURANCE 5 Comparison of Medical and Nonmedical Experience Companies were asked to subdivide their ultimate data into medical and nonmedical if they could conveniently do so. Twelve companies contributed medical data, and eleven companies contributed nonmedical data. The results of this experience between 963 and 968 anniversaries TABLE 7 COMPARISON OF MEDICAL AND NONMEDICAL MORTALITY EXPERIENCE* MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) STANDARD S DURING SIXTEENTH AND SUBSEQUENT POLICY YEARS EXPERIENCE BETWEEN 963 AND 968 ANNIVERSARIES BY ATTAINED AGE ALL POLICY YEARS COMBINED Expected on Ultimate Basic Tables (Amounts Shown in $, Units) AT- T~NE~ AoEs ~ EXPOSED TO RISK Medical Nonmedical 359,63 $,59, ,95 68,45,8,5,63,88,449, 5,8,683 3,48,836,44,95,89,398 4,3,366,49,4 5,4,84,463,95,993,67 8,548,699 5,974,886 3,355,77,463,57 43,989 84, All ages $83,6,766 $7,88,63 ACTUAL DEATHS Excluding Medical Nonmedical 35,33 66, , ,437,449,4 4,44 3,744 4,564 8,36 46,89.596,4 5,549 8,934 8,437 87,797 5,4 6,37 43,5 6,958 4,89 76,699 75,775 3,94 46,85 38,79,95 5,3 6,6 5,79 9,75 69,73,433,7,666 5 Medi- Noncal medi- Medical cal $ 8 $ ,67,894 $4,7 $338 $87 MORTALITY RAZOr.9% ' % Nonmedical 9.3% I5.I oo.5% * Based on medical data from twelve companies and nonmedical data from eleven companies. f Excluding war deaths between 964 and 968 anniversaries. RATIO t op NoN- MEDICAl TO MEDICAl MOR- TALITY RATIOS 98.6 / lo5.9~ are shown in Table 7. The experience between 963 and 968 anniversaries comprises 44.3 per cent of the total ultimate experience during this period (as compared with 4. per cent for the previous study). For practically all attained age groups the nonmedical mortality is higher than the medical. deaths have been excluded between 964 and 968 anniversaries.

16 6 COMMITTEE ON MORTALITY--ORDINARY Comparison of Premium-paying and Fully Paid-up Experience A comparison of the mortality on premium-paying and fully paid-up (excluding reduced paid-up) policies for the period from 964 to 968 anniversaries is shown in Table 8 for standard medical and nonmedical TABLE 8 CChMPARISON OF MORTALITY EXPERIENCE UNDER PREMIUM-PAYIN.G AND FULLY PAID-UP POLICIES MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) STANDARD S DURING SIXTEENTH AND SUBSEQUENT POLICY YEARS EXPERIENCE BETWEEN 9(64 AND 968 ANNIVERSARIES BY ATTAINED AGE.adi POLICY YEARS COMBINED Expected on Ultimate Basic Tables (Amounts Shown in $, Units) PREMIUM-PA'iqING POLICIES* FULLY PAID-UP POLICIES t At- 'rained AGE.q Exposed to Risk Actual Excluding Mortality Ratio:~! Exposed to Risk Actual Excluding MOFtality : Ratio: ~ $ 3,39,8,365,735,39,56,9,945 7,4,9,8,46 7,797,57,33,4,339,699 7,359,9,94,693 7,547,873 4,54,84,79,4 46,744 89,59 $,463 $39 5 6%, , I 3, , ,7 7 9,8.4 8, , , , , , , ,39 76,864i. I ,74 I 88.7 $ 45,757 i,78,95 6,4 593,9,3,38,497,884 3,467,873 4,6,37 4,44,857 4,95,575 3,734,548,7,74,663,6 89,36 33,458 8,4 $ 8,73 $ ,84 7 6,75 5,59 4 9,8 5,4 77,567,5 4,65,784 83,8 48,434 6,95 77~ , All ages $3,769,8 $,87,895 $899 ' 96 6% $3,964,86 $66,79 $33 9.6c~ * Based on data from thirteen companies. t Based on data from ten companies. Excluding war deaths between 964 and 968 anniversaries. issues combined. Thirteen companies submitted their experience separately on premium-paying policies, and ten companies did so on fully paid-up policies; the premium-paying data submitted constituted 7.5 per cent and the fully paid-up data 7.4 per cent of the total ultimate experience of all companies (both percentages based on exposures for the four-year period).

17 STANDARD ORDINARY INSURANCE 7 Mortality ratios are higher on premium-paying than on fully paid-up policies except at ages and deaths have been excluded during the entire experience period, between 964 and 958 anniversaries. EXPERIENCE BY SEX All the eighteen contributing companies submitted all or the major portion of both their medical and nonmedical select data separately for males and females. For the period from 967 to 968 anniversaries, the select sex-distinct data comprise 99. per cent of the medical exposures and 99.7 per cent of the nonmedical exposures. The detailed select experience by sex for the period from 967 to 968 anniversaries by age group at issue for each year of issue is presented in Table D of Appendix I for medical issues and in Table E of Appendix I for nonmedical issues. Expected deaths were calculated on the Male Select and the Female Select Basic Tables. Tables 9- examine the experience by sex between 963 and 968 anniversaries for the select and ultimate data. deaths between 964 and 968 anniversaries have been excluded from these tables. The mortality ratios by age group at issue and sex for the first fifteen policy years combined, cing the experience from 963 to 968 anniversaries, are presented in Table 9 for standard medically examined issues and in Table for standard nonmedical issues. For the purpose of comparing male and female mortality, the right-hand columns of these tables show mortality ratios for females with expected deaths calculated on the male table. The highest ratios of female to male mortalitv are found at issue ages -34 and 7 and for medical issues and at issue ages and 5-34 for nonmedical issues. The ratios of female to male mortality are generally lower on nonmedical than on medical business at ages and. At the younger ages the opposite is true. Table presents side by side the experience for the five-year period from 963 to 968 anniversaries on medical and nonmedical issues, separately for each sex, for policy years -, 3-5, 6-, -5, and -5. The nonmedical mortality ratios shown in this table have been adjusted approximately to reflect the distribution of nonmedical exposures by age for issue age groups and. For males, the ratios of nonmedical to medical mortality tend to increase with issue age and are in excess of per cent at issue ages and in policy years -5 combined. For females, the ratios exceed per cent at issue ages -9 and 35 and in policy years --5 combined.

18 TABLE 9 COMPARISON OF MALE AND FEMALE MORTALITY EXPERIENCE STANDARD MEDICALLY EXAMINED S OBSERVED BETWEEN 963 AND 968 ANNIVERSARIES BY AGE AT --POLICY YEARS -5 COMBINED Expected on Male Select Basic Table and Female Select Basic Table (Amounts Shown in $, Units) AcEs AT EXPOSED TO RISK ACTUAL Dr.A 'rrls Excluding Male! Female Male Female Male Male MORTALITY RaTm*, Female RATIO* of Fz- MALE TO M^ L~: Molt TALITY J. $ 676,;5 338,93 $ C 54.6% 7.% 56.'~ 755,78q 379, G ,~ 394, I ,,8~ 77,38, ,47,65~ 77,76 4,,~, ' t ,376,56g,7,638,4 496, ~.!-4.!. 34,85,66 69,69,6~,949,59,597,983 3,4 7,(3,563,576.7,46, i45. :~ ,99,85 4,344,6 6,3~ 5,99, ~9.8 t5-39 3,9,9~ i 6,67,98 5,65 9, [ ; ,33,55 47,33,354 3,965,57 7,49, 5,667,3 3,365,67 33,35 7,486 83,95 7,69,67 3, i.7! ~6. ~5-59. i-64. i TO and.,73,94 3,8,8~ 83,53~,9~,65, ,3 8,83 38,663 6,49 6,49,43~ 4,4 8,98 5,997 3,339 85G ]. t ~ All ages $489,46,7538,7,77 $,553,44t588,58, ~ I 97.3%56 5~'~ * Excludin~ war deaths between 964 and 668 anniversaries. t Female mortality ratios calculated on Male Select Basic Table. 8

19 TABLE COMPARISON OF MALE AND FEMALE MORTALITY EXPERIENCE STANDARD NONMEDICAL S OBSERVED BETWEEN 963 AND 968 ANNIVERSARIES BY AGE AT --POLICY YEARS -5 COMBINED Expected on Male Select Basic Table and Female Select Basic Table (Amounts Shown in $, Units) AGES AT Isstre $ Male ~ 7,484,373,746,89-4,..! 3,475,53.. 5,463, ,9, ,8,9 7,9,849. 6,6, ,367,69. 4,56, ,,47,8 6, 5 and 56,97 All ages $56,36,54 EXPOSED TO RISK Female $ 4,79,996,674,78,9,499,8,38,338,994 7,,5 8,946,635 5,995,74 5,5,79 3,668,8 78,456 55,358 8,869 $44,389,59 Excluding Male ACTUAL DEATHS Female 4,7 $,895,53 55,5 553, , ,736 3,53 64,777 4,86 6,979 4,45 58,43 5,499 4,474 6,65,8,99, Male Female $ $ 5 9,37,53 9, ,977, MORTALITY RATIO*t Male 9.~ Female 9.4% ~39,534 3,93 $8,83 $46 8,3%.3% RATIO* ov FE- MALE TO MALE MOR- TALITY 77.7~ , ,o% * Excluding war deaths between 964 and 968 anniversaries. t Exposures not adjusted for distribution by age within each llve-year age group at issue. Female mortality ratios calculated on Male Select Basic Table. 9

20 TABLE COMPARISON BY SEX OF MEDICAL AND NONMEDICAL EXPERIENCE* BETWEEN 963 AND 968 ANNIVERSARIES BY AGE GROUP AT AND DURATION (FIRST I:IFTEEN POLICY YEARS) Policy YEARS AOE GROUP AT Non- Medi- medical cal % % 3-5 Medi- Noncal medi- % cal % Non- I... Non- Medi-cal mceadli" Meal-% cal medl- cal" % % I ' % -5 Medi- Nonmedical % cal % Male Ex ~erience: Mortality Ratios on Male Select Basic Table ~ L " " and i All ages I5 9 l 97 3tl 96 t tl 98 t3t ~6t ~, 9t 3t 96 ~l-7i ? 5 8 9t Tdi~ I 7 ll (8 lilt 9 t 9 ) 3~ 94 { 9~i ~c~t Female Experience: Mortality Ratios on Female Select Basic "Fable I [ 5 and All ages loz l t 7 ll6t ~ lo4t ot o6 t 3t ll9t 5t 9t 4t 3t Male Experience: Ratio o[ Nonmedical to Medical Mortality Ratios and 6% 9 t t 88t 6t 7% It 5 34f 75 45% 7' t 3~ 5t t3t t 3t 39t t 58% t 6t 8 9 Female Experience: Ratio of Nonmedical to Medical Mortality Ratios and. 5% It 67t t 38% ot % list o8t 7 ) 55% 8 Ill los, o3 3f 43 78% t 3t 7t * Excluding war deaths between 964 and 968 anniversaries. t Exposures adjusted for distribution by age within each five-year age group at issue.

21 STANDARD ORDINARY INSURANCE The mortality ratios by attained age groups and sex for policy years sixteen and combined, cing the experience from 963 to 968 anniversaries, are presented in Table for standard medical and nonmedical issues combined. Again, for the purpose of comparing male and TABLE COMPARISON OF MALE AND FEMALE MORTALITY EXPERIENCE* STANDARD S DURING SIXTEENTH AND SUBSEQUENT POLICY YEARS EXPERIENCE BETWEEN 963 AND 968 ANNIVERSARIES BY ATTAINED AGE--ALL POLICY YEARS COMBINED Expected on Male Ultimate Basic Table and Female Ultimate Basic Table (Amounts Shown in $, Units) AT- TAII'CED AGES EXPOSED TO RISK Male.,49,9 --4,77,63,6, ,44,784. 4,854, ,98, ,45, ,45, ,, , 4,6, ,698, ,683, ,769, ,658, ,8,667 All ages [$3,8,89 Female $,4,69 8,97 48, 599,96,484,99,7,,99,66,48,998,85,3,59,638,4,44 74, ,489 79,4 55,55 4,63 $7,5,95 ACTUAL DEATHS Excluding Male $,357,4,343,838 8,46 4,57 63,8 6,668 8,3 93,78 33,7 39,7 77,47 84,338 79,99 3,87 Female $ ,848 4,85 7,74,7 3,45 6,8 7,3 9,367,7 4,3 7,53,74 Male $,939,975 $35,466,48 Female $ $ MORTALITY R^Tmt Male Female 9.5% 7,4% A % 97.8% RATIO~ or FE- MALE TO MALE MOR- TALITY 49.3% , , , % * Based on data from eleven companies. t Excluding war deaths between 964 and 968 anniversaries. Female mortality ratios calculated on Male Ultimate Basic Table. female mortality in the right-hand columns of these tables, mortality ratios for females were calculated on the male table. Eleven of the contributing companies submitted data separately for males and females for policy years sixteen and. The lowest ratios of female to male mortality are found at attained ages, while the highest ratios are found at attained ages 85 and.

22 APPENDIX TABLE A I CONTRIBUTING COMPANIES PROPORTION OF TOTAL EXPOSURES BETWEEN 967 AND 968 ANNIVERSARIES CONTRIBUTED BY EACH COMPANY ('GMPANY FIRST F I l*'l~e N POLICY YEARS SIX- TEENTH Medi- Non- QUEST cal medi- POLICY Issues IssuesCal YEARS FIRST FIFTEEN POLICY YEARS BY SEX SIXTEENTH AND S LqSS EQ lye wr POLICY YEARS Medical J Nonmedicat ISSUes Issues BY Sex Prudential Metropolitan... New York Life. Northwestern Mutual Massachusetts Mutual. lohn Hancock... New England Life. Mutual Benefit... Connecticut Mutual. travelers. Mutual Life, N.Y... Dccidental. Aetna... Penn Mutual... Connecticut General. Lincoln National Provident Mutual... ~un Life. Canada,.~ Total Male and Female Lives Combined (Including Data Not Subdivided by Sex),4% 36,6%.8.9. I, , , 3.8 3,., ,4,4.4 ~8.6.7 o% 8.% , 3..9,.6 l loo.o% loo.o% Male Female! Male ].9%.8% 3t%. {)8 9.4, , ,9. 3,3.,9 3, , ~.4,,8 6.l.5 9.% 7.8% 84.4% Female Male Female 5.7% 6 4% 4.9%, ~ ,, ,5.3...,l O ,6% 86 % 4.% NOTE.--A Comparative Mortality Study of the select experience between 963 and 968 anniversaries for the above companies is available upon request to the Office of the Society of Actuaries. The companies are not identified by name but are differentiated simply by a system of code letters, Experience is shown by issue age groups and by issue year groups separately for medical and nonmedical business.

23 TABLE B STANDARD MEDICALLY EXAMINED S OFF MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY YEAR OF AND AGE AT Expected on 955~6 Select Basic Tables (Amounts Shown in $, Units) YEAR (POLICY Y~) (5) (4) ACTUAL DEATHS AoEs AT I ~os~ Exwzc'nzD ' TO PdSK DZATRS Excluding o $ 6,74 I $ 3 $ $ 6 9,34 4-4, , , , , ,79,, ,44,359,868 68,775 4,9 9 4, ,3 4,56 4, ,78 4,34 4, ,877,57,88 5,.%-59 5,36,587, , , and A~ ages $ 3,44,368 $,6 $ 68 $4,54 $ 7,3 $ 4 $ $ 6, , , , , , ,887 4,8 33, ,364, ,3 74,98 4,39 4, ,36 5,5 5, ,57 49,89 4,945,735 4,8 3, ,8,38,8 6-64,959,5, , and All ages[ $ 3,653,689" $3,866 $ 65' I $5,776 MORTALITY RATIO Excluding Including 353% 383% % 9% 67% 67% [ 93% 93% 3

24 TABLE B--Continued Yz^R (POLIC YEAR) AGES AT EJfPOSED TO RISK ACTUAL DEATHS MORTALITY RATIO i EXa, E CTED Excluding DZAT~S Exclud- Including ing 955. (3) 956 () 957 () $ 7,45,68-4 8,45 48,8-4 65,349, , 76, ,5 877, , , , , , ,76 7 and 8 All ages $ 4,553,675 $ 5,593 6,37-4 3,564 4, ,977, ,8 8, ,3,889 97, , , , , , ,33 7 and 64 $ 9 $ $ 5 38~ 38% ,6 6, ,43 3 3, ,93 4, ,59 5, ,584 5, ,79 3,78,6, , ] $6,94 $3 $8,744 9~;~ 9q~... [... $ 5 : $ $ 4 5~ 5ci~ i 5 7 I i 65! ~, , ,75 3, 5 5 3,9 4, ,98 5, ,76 4, ,8 O' 3, ,69, ,, All ages $ 5,45,76 $6,9 $9, $7,89 94% 94,~ $ 4,57 $ $ -4 9,89, , 63, ,5 556, ,79,339,398,45 3,57 6,,36 4, ,78 455,5 5,6 3, ,99 84,74 4,348, , , and 65 5 All ages $ 6,67,46 $7, % 34 59~ , , ,7 5, ,539 3, ,899, $i $8,98-97% 98~ 4

25 TABLE B--Contlnued Yz*a (POLICY YEn) 958. () 959. (9) 96. (8) AGES AT EXPOSED TO RISK ACTUAL DEATHS Excluding I $ 3,73,588 $ 4 $ $ 3 5-4, ,99 6, , , ,5,55 5, ,434,394,636 3, ,369,45 983,46 4,9 6,7 5 5,64 5, ,45 5, 4, ,896 3,79 3, ,5,94, ,94 94, and 8, All ages $ 6,59,746 $ 3,88 $ 5 3,54-4,36 4, , , , ,9,6 3-34,39,398,46,48,74 4, ,36, ,8 5,56 5, ,6 3, ,47, , , and,49 33 All ages $ 6,84,46 $,54,77-4 9,99 33, ,8 8, ,39 756, ,,8,39, 4-44,, , , ,897 (~) , ,7 7 and,794 All ages $ 6,6,966 EXPECTED DEATHS $8,65 $3 $8,78 $ o $ ,4 3,756 4, ,43 5,99 3,96,43, $6,967 $357 $7,73 $ $ ,3,96 4,54 3,844 3,863 4,73 4,8 4,546 3,53 ' 3,559,36,3,4, $3,63: $ 5 $3,97 MORTALITY RATIO Excluding Including 8% 8% % 7o 375~ 375% % 99% % % ~ % 99~ 5

26 TABLE B--Continued Y~ala (POLICY YzAa) (7) 96 (6) 963. (5) AGES AT FOFO SED To RiSE 9,4,96-4 9,6 33,88-4 5,7 39,84-4 4,75 745, ,7,754,358, ,9, , , , , ,7 7 and 3,37 All ages $ 6,346,77 ACTUAL DEATHS $ 9,687 $ 7 3, ,6 4 35, , , ,7, , ,,744,44,43,373, ,68,68 4, ,335 4, ,8, ,438, ,9, and 5,88, All ages $ 6,69,6 $9,9 $ 3,78 $ 7 6,59-4 8, , ,88 38, , , ,55,99,749,438,96 3, ,477,79 4, , , 74 3,953 3, ,45 77,395, ,996,35 7 and 4,77 3 All ages[ $ 8,86,677 $,693 Excluding $ o $ o ,38 5 3,35 4,6 3,665,468,94, ~X~PECTED Dzxams $ ,779 3,54 4,63 4,37 3,749, $,454 $ 99 $3,5 $ $ , ,44 4,49 4, 3,353,48,8 4 6 $89 $,56 $ o $ ,73 4 3,48 4,86 4,637 3,57,379, $83 $3,955 MORTALITY RAIIO Excluding Includhag o% o~ O O l 89% 89C:,} 75% 75% I 79 8O % 93% (~ % % 96% 6

27 TABLE B--Continued YEAR (PoLIcY YrAR) 964. (4) 965. (3) 966. () ACTUAL DEATHS MORTALI?IO AGES AT EXI~O SED ~XP~E CTED TO RISK DEATHS Exclud- Includ- Excludlttg lag ing $ 7,53 $ $ $ % % 9, ,87 7,49,49 3, , , , ,75, ,68,354,574 4, ,934,55 3,496 3, ,64,439 4,435 4, ,4,84 4,43 4, ,44,87 3, ,43,68, ,363 97, , and 4, All ages $ 9,5,3 $,63 $95 $3,978 89% 9% $ 6,884 $ $ $ II % % 9, , , , , , ,4,38,75 44, ,95,45,449 33, ,99,746, , ,86,36,79,64 4,59 4, ,533 4, ,63 63,33,54,39 3,695, ,764 77, , and 4, All agesl $,736,485 $,7 $73 $3,46 95~ 98% $ 8,44 $ $ $ 4 4~ 4% 4,77 9, , , , , ,67, , ,79,37 3,75 56, ,44,9,537 8, ,77,8 3, , ,343,5,88 5 3, ,87,93 3, ,57,65, , , and 5, $,68,95 $8,66 $565 [ $,663 I 9% 93 7

28 TABLE B--Continual YEAR (POLICY YEAR) 967 3) AGES AT ISSVE and All ages EXPOSED TO RISK 7,67,964,498 4,756 5,3 94,458,,3,33,9,66,47,4,745,54,38,568,58,4 788,894 35,3,84 5,785 5,943 $3,577,64 ACTUAL DEATHS Excluding [ EXPECTED DEATHS $ 73 $ $ 3 4i o , ,833 4,53,4,494,99 5 3,373 3,68 3,44,7t,37,6,439, MORTALITY RATIO Excluding Includ~ ing 35% 35% 5 5 o o 36 36,63,63 9 o IO o $7,4.4 $348 $7, loo% lo% 8

29 TABLE C STANDARD NONMEDICAL S OF MALE AND FEMALE LIVES COMBINED (INCLUDING DATA NOT SUBDIVIDED BY SEX) EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY YEAR OF AND AGE AT Expected on Select Basic Tables (Amounts Shown in $, Units) YgAR (PoLIcY Y~A~) 953. (5) mutual DEATHS MORTALITY RATIO AGES AT E~CPOSEB EXPECTED TO RIsK Excluding DEATHS Exclud- lnclud ing ing $ 44,93 $ 6 $ $ 57 5% 5~ 48, , , , , t , , , , I , , and AH ages $,46,796 $3,36 $ 79 $3,46 98% ~ 954. (4) $ 57,59 $ 9 $ $ 53 55% 55~ 54, , , , , , , , , , , and All ages $,455,74 $,73 $ 67 $,96 94% 96~ 955. C3) $ 87,93 48 $ $ 55 87% 87f~ I 65, , ,7 79 l , , tl, , , , , , [ 65 5and I All ages $,696,847 $,9 74 $,96 99% i ~ 9

30 TABLE C--Continued YEAR (PoLIcY YEAR) 956. () ~GES A EXPOSED TO RISK 74,48 65,78 66,86 8,384 99,668,66 4,779 49,66 4,844 9,96 3,893 ACTUAL D~s Excluding [ ! 75 5,83,38 7 I I EXPECTED DEATHS ,9!, 9 9 MORTALITY RATIO ;xclud- lncludkg ing )eaths 35% III iii ,~, ~ 37 ~ and I 339 ~ 6 I '~ b " I " I f 957 () 6, , , ,67 69 Ill , , ,54 768, , ,7,68,657 33,944 48,955,35 45, , $ 3,5,53,786 $6,7 5% 958. () $ 55,896 $ 6,643 63, , , , , ,79,7 539,75,477 5, , 9, ' i ,5 ],7 ] 94 [ / 6 5% 3 I % $ 3,576,63 $5,57 5,3d ~o8% 3O

31 TABLE C--Continued ]SSUE YK~.It (POLICY YEAR ) AGES A T EXPOSED TO RISK ACTUAL DEATHS Excluding EXl~ECTED DEATHS MORTALITY RATIO Exclud- Including ink L ) $ 5,57 6, ,673 88, ,94 68, ,64 87,6l ,48 9, , ,75 5 and $ $ , , I ~ %' 95~ All ages $ 3,7,63 $5,46 $ 49, $4,634 9% 8~ 96.,, [8) $ , I, and 845 $ 3 $ i $ 4 9 I % ~ All ages $ 3,87,7 $4,75 $ 47 $4,378 93% lo4% 96 '5) $ 3,797 5, ,53, , ,665-4,7,55 935, ,68 39, , I, and 4 $ 95 $ $ , , % % All ages $ 4,8,83 $4,954 $ 47 $4,44 % ~ 3

32 TABLE C--Continued YEAR (POLICV YEAa) AGES AT EXPOSED TO RISE ACTUAL DEATRS Excluding ~XPECT~ D~s MORTALITY RATIO Exclud- Including ing 96,.. (6) $ 3,369 53, ,75, ,98 83,65-4,94,96 97, ,93 37, , ,74 5 and ' $ l $ Q 37% 37~ ll All ages $ 4,37,335 I $4,57 $ 8 $4,86 8f:~: 8f~ ~4) (} $ 68,739' $ 48 $ I 6,O8] ,34 I 8 36, ,379 ~ 3 94,86, ,489,443,36 36,7,874, , , , ,33 5 and,67 All ages $ 5,9,749 $5,443 $, $ 84,98 $ 65 $ 64, , , ,96 68,9,7, ,88,8,53 39,353,83, , , , , and All ages $ 6,7,774 $6,68 $,3 ; 8 69~i 6~::~ O 6O , 3 4, $4,747 5~ 38'~ $ 65% 65~ ! ,45 4 3, $5,43 ~ 43~ 3

33 TABLE C--Continued ~SSU E YEAR (PoLzcY YEAR) AGES AT EXPOSED TO RISK ACTUAL DEATHS Excluding EXPECTED DEATHS MORTALITY RATIO Exclud I Including i ing I 965 3) ) ) 97,88 7,98-4,34 65,5-4 5,45,48, ,8,754,58, ,86 9, , ,79 5 and,64 All ages $ 6,99,99 $ 6,4 78,574-4,4 78,35-4 6,3,349,45 --4,344,99,757, ,5 35, , 54, ,39 5 and,458 ovet All ages $ 7,455,3 $ 5,44 9,5-4 45,89 3,9-4 85,39,596, ,5,37 ',59, ,,6 47, , ,3 5 and,678 All ages $,66,648 $ 78 $ $ 3 63%j 63% , , ,87,376, ,74 76, ,397 89, $7,3 $,35 $5,7 6%' 68~ $ 5 $ $ 53 99% 99~ ,467,333 9, ,89,, ,77 8, i, 97 7 $6,47 $,675 $5,7 5% 65~ $ 368 $ $ 47 86% 86~ , , ,9,43,3 4 ' 4,66 89, I $8,445 $,448 $6,49 3% 68~ 33

34 TABLE D STANDARD MEDICALLY EXAMINED S OF MALE LIVES EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY 'YEAR OF AND AGE AT Expected on Male Select Basic Table (Amounts Shown in $, Units) YEaR (PoLicy YE^R) (5) AGES AT -4 (~4 (~ ,-59 6O and (4) O O and EXPOSED TO RISK $ 8,469 4,896 6,86,453 8,45 65,8 56,46 444, ,95 557,36 47,36 3,878 96,8 4,6 4,34,797 3 All ages $,676,45 9,7 6,54 9,69 7,86 43,89 8,8 3,97 539,84 78,54 647, ,99 75,6 3,738 5,868 8,8 4, ACTIYAL DEATHS Excluding Death: ~ 5 944,34 3,86 9 4,75 4,l i,6,39 65 $,34 $ 68 $ S I 8 6,7,68 5 3,73 4,593 4,53,47, MORTALITY.--RATIO ~ExPE CTED DEATffS Exclud- Including ing ; 4 ] 5% 5% 3 ol o 5 I 5 I 56 34! S 38 I, 89,673 4,46 4,337 4,5,48 i, ] 8 $,63 I S ,8,838 4,8 4,584 4,3, !) l % 93% 5% 5% All ages 3,4,46 $,633 $ 65 $ 3,89 93% 93% 34

35 TABLE D--MALE LIVES--Continual YEAR (PoLtc YEAR) AGES AT ~.XPOSED TO RISK ACTUAL DEATHS Excluding EXPECTED D~rHs MOR TA LITY RATIO Exclud- Including ing (3) 956. C) ) $,44 $ 6 $ $ 3 7,36 I 3 --4, ,O , , , ,95,73 6, ,489,95 3, ,73 3,768 4, ,34 4,578 5, ,9 4,65 4, ,783 3,53 3, ,33,373, [ 4,476 5, , and 558' 37 7 All ages[$ 4,57,46 is 4,8 $ 3 $ 5,89 $ 8,3 ~$ 5 $ $ 9, , ,936 ~ 54,889 I ,799 I ,88l ,837,37 3, ,54,3,99,85 884,43 3,353 4, , ,48 4,747 4, 5,6 4, ,43 3,73 3, ,98,64, ,493,3, , and All ag~ $ 4,57, 3,5 i $ 9 $ 5,4 7,43 $ $, , , , , ,5 956,59 546, , ,69,757 3,77 6 3,339,9,676 4,738 4, ,64 4,68 5, ,36 3,653 4, ,35 4,7, ,89,66, , , and All agesl $ 5,587, $ 5,464 $ $ 5,97 533% 533~ % 93% 5% 5% % 93% % % %, 99% 35

36 YEAR (POLICY YEAR) () 959 9) AGES A and Over All ages TABLE D--MALE LIVES--Continued EXPOSED TO RISK $ 8,45 4,76 4,85 6,776 5,94,93 5,49 963,6,388,434,39,87 99,39 486,84 46,733 3,6 3,38 7 9rio I ACTUAL DEATHS [ MORTALITY RATIO I EXPECTED Excluding DEATItS Exclud- Including ing [,o5o%,o5o% O i ,5 5,8 98,539 3, ,8 5.5, ,47 5, ,73 4, ,548 3,565,7.54,8 I '~(-o ~ 95 I ~oo ~ ,.. C8) loo~ % oo% 36

37 TABLE D--MALE LIVES--Continued YEAR (PotxcY YEA~) 96. (7) 96 (6) 963 (5) ACES AT IsscE FExrosED TO RISK ACTUAL DFEA'I'II S Excluding ' EXI'ECTED DgATttS $ 6,667 $ $ 3 4, ,6 4 3, , , , , ,6,958,994 5,7,69,584 3,54 3, ,3 3,78 4, ,738 3,48 4, ,395,3 3, ,58,86, ,57, O, and, All ages$ 5,83,78 $ 9,99 $ 99 $,489 $ 6,7 $ 5 $ $ 3 5, ,97 5 5, , , , , ,57,46,4,56,3,755,648 5, ,48,679 3,6 4, ,66 4,7 3, ,4,64 3, ,,48, ,597, , and, All ages$ 6,,9 $ 8,6 $ 89 5,5 $ 9,757 $ 7 $ $ 5, , , , , , , ,45,7,93 6,653,66,945 3,49 4 3, ,34,87 3,774 4, ,5 3,69 4, ,54 3,49 3, ,,745, ,356 73, ,559, and 3,5 5 3 All ages$ 7,4.68,43 $,35 $ 83 $,94 MORTALIT RATIO Excluding Including o% % % 89% 67% 67~ % 9% 4% 4% % 97~ 37

38 ]'ABLE D--MALE LivEs--Continued YEAR (POLICY YEAR) (4) f3) 966,.. () ExFos~:o TO RIsK $,34 6,986,436,577 4,353 34,7 586,87,,767,589,67,79,54,468,877 88, 48,97 5,58 64,34 6,55,933 8,437~566,74 6,75 5,98 6,38 38,96 7,95 748,93,338,66,84,56,3,49,67,886,36, ,995 5,95 76,7 6,993,774 9,85,748,938 8,6 4,948 5,69 43,4 79,78 85,5,534,3,6,45,59,3,874,57,84,97 69,36 65,83 8,48,56 3,46 $,5,47 ACTTJAL DEATHS 46 MORTALITY ]RATIO Includ- ing K, lllf., ~~:i l '~ 8c~ O % 38

39 TABLE D--MALE LIVES--Contlnued Yg~tR (POLICY YEAR) () All years.. (-5) AGES AT Issue $ O and All ages $,434, O and AlE ages,99,3 EXPOSED TO RLSK,3 8,339 4,97 7,6 39,544 63, ,43,87,36,338,87,556,3,88,363,34,78 679,739 3,487 9,57 8,855 3,789 $ 4,57 5,93 98,84 393, ,63,875,645 7,36,799 4,6,45 9,887,7,76,39 6,48,8 9,75,7 4,949,55,4,99 677,754 64, 5,78 $99,38,65 ACI:UAL D EA I'B S I EXPECTED DE.barBs ;xcluding I ar [ ,97,794,66,656,874,573,43, , ,65,3 6,458 5,4 34,45 5,558 6,54 59,49 I 4, 6,664,794 ] s,85 I, I 7 9 i o [,47 5 ] 3,8,394,94,3 i, $ 6,3 $ [ 6 8 I 6 73,94,4 6,75 5,695 33,97 4 [ 55, i [ 68,47 6,7 47, 8,85 3,745 4,57 I,9 _ $3,4 53,5; 4,366 MORTALITY RATIO Excluding Including 95C7c 95% ~ % 5% 5% % 95% 39

40 TABLE D--Continued STANDARD MEDICALLY EXAMINED S OF FEMALE LIVES EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY YEAR OF AND AGE AT Expected on Female Select Basic Table (Amounts Shown in $, Units) Issue Year Ages at Exposed Actual Expected Mortality (Policy Year) Issue to Risk Ratio (3) and $ 5,39,497,853 7,374 6,7 7,453 4,8 7,763 3,677 8,6 36,678 7,65 4,694 7,457,4 58 4O $ $ loo% All ages $ 5,34 $ 87 $ I,8 8% (4) O and 5,4,774 3,633 9,8 7,773 8,6 5,7,995 3,95 33,54 44,5 3,385 8,39 8,38 3, $ $ ~ O (3) All ages $ 44,75 $,46 $,8 6~ O O and $ 4,43 $,43 4,68,3 8,96,8 6,686 4,37 34,859 4,437 5,76 38,754,546,565 5,349, $! % All ages $ 88,6.5 $,66 $,357 86% 4

41 TABLE D--FEMALE LIVES--Ctmtinued Issue Year Ages at Exposed Actual Expected Mortality (Policy Year) Issue to Risk Ratio $ () O and () () 4,33 4,3 5,899 9,5 8,856,353 6,64 3,79 33,83 4,785 5,56 38,864 4,,58 4,36,85 53 $ o $ Ill % O O All ages $ 88,5 $,34 $,57 4% i O and $ 4,3 5,8 5,96,4 8,873 8,85 5,55,683 34, 45,74 56,394 4,649 5,8,774 4,569,49 5 $ $ loo% lo All ages $ 3,57 $ 965 $,38 85% and $ 4,7 7,3 6,58,6,35,799 9,463 5,337 43,878 58,468 73,435 54,766 3,46 6,497 5,856,45 46 $ $ % All ages $ 38,684 $,694 $,337 7% 4

42 TABLE D--FEMALE LivEs--Continued Issue Year Ages at Exposed Actual Expected Mortality (Policy Year) Issue to Risk Ratio (9) and $ 4,9 7,9 6,387,998,545,856,4 8,396 49,98 7,6 8,4 65,76 39,63 9,557 7,44 3,368 7 $ o $ % Allages $ 44,3 S,8 $,49 8~;~, O and $ 3,39 7,694 5,89 8,74,5,746,3 5,57 49,85 73,49 93,836 7,8 39,65,78 8,993,693 7O S ] % 5O All ages $ 455,993 $,97 $,464 8~ (7) A O O and $,557 8,5 6,56,57,56 3,67,75 6,7 53,885 87,379 5,479 77,335 47,5 5, 8,4.5 3, $ o $ % 4OO 4OO, All ages $ 59,498 $,348 $,5 89% 4

43 TABLE D--FEMALE LiVES--Continued I Issue Year Ages at [ Exposed Actual Expected Mortality (Policy Year) Issue to Risk Ratio ) 963. '5) 964. ~4) and All ages $ o $ and, i All ages $ o $ and All ages I $ $,977 8,75 7,89,56,587 7,93 8,38 35,65 6,57 98,94 9,364 85,89 53,638 5,337,595, ,38 3,95 5,76 5,76,,856 7,466 3,93 39,799 78,44,76 5,56 3,88 67, 33,99 6,39 5,437,87 $ $,639 $ O $ $,5 $ oo% lo9% % O ,448 $,46 $,748 84% 5,9,46 4,85 9,776,87,93 33,44 5,74 88,99 4,868 69,6,783 76,997 38,59 8,8 6,34,59 $ 5 ~ $ lo% ,59 $,37 $,748 76% 43

44 TABLE D--FEM&LE LivES--Continued Issue Year Ages at Exposed Actual Expected Mortality (Policy Year) Issue to Risk Ratio (3) O and $ 5,44 3, 4,683,849 9,547 5,5 4,44 6,356,458 64,584 86,977 4,757 85,3 38,33 5,593 5,477,436 $ II $ % o o o o lo i 33 All ages $ 93,5 $,6 $,553 3c:~: () O O and $ 5,7 3,7 4,455,346,96 3,5 55,45 69,5,8 76,395 99,39 57,93 87,36 45,74 7,48 6,4,667 $ ~!~ O :) All ages $ 997,697 $,84 $, O and $ 5,55,66 6,4 3,54,767 3,74 6,86 88,9 6,577 83,934 7,64 84, 8,776 49,67 9,3 6,93,54 $ 3 $ All ages $,9,3 $,54 $ r5,~, lo7% 44

45 TABLE D--FEMALE LIVES--Continued Issue Year Ages at Exposed Actual Expected Mortality (Policy Year) Issue to Risk Ratio All years... (-5) and $ 66,3 74,49 79,958 53,87 5,543 37,8 43, ,498 94,457,365,79,64,34,54,46 743, 36,3 48,64 48,567,535 $ ,,858 4,688 3,39,99,63, $ ,8,78 3,884 4,4 3,386,54, % All ages $8,3,44 $9,397 $,488 95% 45

46 TABLE E STANDARD NTONMEDICAL S OF MALE LWES EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY YEAR OF AND AGE AT Expected on Male Select Basic Table (Amounts Shown in $, Units) YEAR (POLICY YEAR) (5) ~GES A -' EXPOSED TO RISK $ 8,96 7,47 ~ 9 9, , , , , , , , ,5, ACTUAL DEATRS Excluding l () ~ 96 I)] ol 7 I s MORTALITY RATIO EXPECTED I DE^~S Exclud- Including ing $ ~ ~-~ 5 6O 6O ! ,9,75 o~% (4) 9,453 3,343 34,4 45,78 56,37 6,99 95,6 56,839 85,999 74,,777, I o! %, (3),,343 9,46 38,69 4,5 54,65 74,43 6,6 5,656 74,766,73 8,666,897 9OO 3 $,9 $ $ 67 $,53 $ $ 35 : ' ' ~ 5 9% 94% 97% 97% i ~,3,676 $, $,57 i %

47 TABLE E--MALE LiVEs--Continued YEAR (POLICY YEAR) AGES AT ACTUAL DEATHS MORTALITY RATIO EXPOSED ] EXPECTED i TO Rlsx! Exclud- DEATHS Exclud- Includ- I ing ing ing ~ Deatias () () () $ 4,7 $ 47 $ $ 3 57~ 57e~ l 38, , , , , , , ,486,8,3 89,667, , and All agesl$,94,433 $ 3,9 $ 6 $ 3,864 % 4~ '$ 96,8 $ 48 $ $ 6 85% 85~ 36,8 4 l , , , , , ,38,83, ,,586,565 88,68,34, , , and 8 5 All ages$ 3,5,93 $ 5,85 $ 99 $ 5,736 % 5 7c $ 93,884 $ 3 $ $ 5 5% 5~ 38, , , , , , ,3,77 53, ,5,39,37 4 3, , , and 46 6 All ages ~ 3,63,54 $ 4,9 $ 37 $ 4,787 3% 9~ 47

48 TABLE E--M.,tLE LIVES--Continued 959. (9) YEAR (POLICY YEAR) AGES AT EXPOSED TO RISK $ 9,75 37,5-4 43,7 63, , , , , ,436 87, , ,38 5 and 456 ACTUAL DEATBS MORTALITY RATIO Exclud- I EXPECTED DEAmS Ex lud- Including ing ing s 3 s s 9 I 7% 7~ (8) All ages $ 3,7,7 3,37-4 4,543 7,9 (I--4 35,64 637, ,53 84, ,38 78, , ,68 5 and 74 $ 4,6 $ 47 $ 4,87 8~ 8~ i... S 5 $ S 3 I 83c~... 83% 5 ~ 5! 5(} All ages $ 3,346,79 $ 3,73 $ 47 $ 4, 93% 5% 96 (7) $ 85,4 $ 73 $ $ ~, 97~ 33,354 7, ,384, 75,653 67, 9 3 ~ , ,5, ,9, , , , , , and All ages$ 3,694,65 $ 4,574 '$ 47 $ 4,39 3~c 5% 48

49 TABLE E--MALE LIVEs--Continued YF.AR (POLICY YEAR) (6) (5) (4) ACTUAL DEATHS MORTALITY RATIO AGES AT EXpoSED EXPE CTED IssvE TO RISK Exclud- DEArnS Erclud- i Including Wsr mg ~ mg i 84,7 $ 68 $ $ 4 66% 66~ 34, , , , , ,7, , , , , ,49 8 5and i I All ages$ 3,7,78 $ 4,,$ 8 $ 3,773 i 9% 3~ $ 9,4-7 $ 3 $ $ 58 55% 55~ 38, , , , ,877, ,35,94,8 36,4 5 44,6, , , , , and All ages$ 4,46,43!$ 4,953 $, $ 4,58 6% 4~ -I $ 7,57 43 $ $ 7 I 6% 6 ~ 4,835 3 i ,6 36 8i 9 9 7, , ,7, ,596,,38 39,34 3 3,9,9,396 8, , , , ,55 5 and All agesl$ 5,47,57 $ 5,67 $,3 $ 4,685 ~. 47~ 4

50 TABLE E--MALE LIVES--Continued 965. ~3) 96 ) YEAS (PoLIcY YEAS) ACTUAL DEATHS ~OaTALITY RATIO AoES AT I EXPOSED EXPECTED Isstrx I ro Risi~ Exclud- Dr.A~s Exclud- Includ- hag ing ing, $ 5,846 $ 48 $ $ 9 53% 53% 45, , , , ,98,94,77,376, ,869,5,958 76, ,345,6,8 89, , , , , and,44 I All agesl$ 5,88,97 $ t~,53 $ 35 $ 5,3 7c~ 73~ $ 35,67 $ 84 $ ~ 75'S: 75'; 5, ~ -4 79, , , ,77,5,47, ,3,739,794,,5 88,539,33,8 8, , , ) , , and,74 7 All ages[$ 6,9,449 $ 5,57 $,675 $ 4,78 7~ 74~ 967. ) 56,54 $ 5 $ $ 76 8~ 85~ 58, , , , ,53,39, ,999,434,86,43, ,,569,55 89, , , , , and, ABages 8,388,546 d $-, 448 $5,736 3~'~ 75~7c 5

51 TABLE E--MALE LWFES--Continued YEAR (POLICY YEAR) AGES AT ISsuE EXPOSED TO RISK ACTUAL DEA TIIS Excludmg EXPECTED DEATIIS MORTALITY RATIO Exclud- Including ing MI years... -~5) and $,564, ,57 773,87,7,83,967,58 9,8,677 6,35,76 3,57,458 6,998,755,79, ,67 3,85,57 $ 836 $ ,9 559,439 5,575 5,6 4,564 4,356,49,8 53 9,8 86, $ ,664 9,53 3,957 3,55,85 8,7, % 9o~ All ages $55,497,635 $69,586 $,89 $63,33 ~ 3~ 5

52 TABLE E--Conlinued STANDARD NONMEDICAL S OF FEMALE LIVES EXPERIENCE BETWEEN 967 AND 968 ANNIVERSARIES BY YEAR OF AND AGE AT Expected on Female Select Basic Table (Amounts Shown in $, Units) Issue Year (Policy Year) Ages at Issue Exposed to Risk i Actual Expected Mortality Ratio (5) $ d3yr 6,5 9,43 7,73 6,8 3,89 33,99 49,65 3,477 5,47,957 5,7, $ 88378~ l~ 4 93, (4) and $ 65,5,69,5 9,95 5,47 3,37 48,53 3,633 6,694,995 4, $ 3 5 6O $ I 56% All ages $ 37,83 $ 98 c~ (3) and All ages $ 76,5 5,93 5,88 4,64 8,74 37,6 5,3 34,83 9,888 4,68 4, $ 353, ;7( $ $ 36 74G; I % 5

53 TABLE E--FEMALE LiVES--Continued Issue Year (Policy Year) () Ages at Issue and Exposed to Risk $ 68,398 5,5 4,6 3,596 9,3 33,334 47,84 33,45 3,683 5,89 4, () () All ages $ $ and All ages $ $ o and All ages $ 336,63 63,754,87,43,68,5 36,56 5,4 39,348 38,476 3,65 6, ,87 6,3 4,5 3,83 4,344 5, 44,9 64,4 49,37 48,89 39,9 7, ,97 53

54 TABLE E--FEMALE LivEs--Continued Issue Year (Policy Year) (9) Ages at Issue I Exposed to Risk $ 57,54,694,456 4,34 7,435 54,79 67,79 5,33 Actual $ 6 5* Expected Mortality Ratio $ 4 7% 5 o lo , , , and ] 4 I 5 i~flages $ 49,3(I [ $ 43 $ 346 4'i 'l - -$-----~[-~6, $... 47~...,' $ i4... -~--:~ '-'4 5-'9,7 4, I [ t { ,663 7,93 79, , , , , and 4 All ages $ 46,3 $ % (7) O and $ 45,377 7,94,77 5,45 3,687 88,55 97,483 7,449 69,99 53,73 9,899 3OO 76 $ 4 57% All ages $ 53,3 $ ~ * One female war death for $, is included, 54

55 TABLE E--FEMALE LIVES--Continued Issue Year (Po!icy Year) (6) (5) (4) Ages at Issue and O and Exposed to Risk 46,98 8,673,43 7,7 9,57 6,84,85 8,77 78,96 59,6, Allages $ 64,99 $ 59,69,55 9,899 38,39 44,936 35,983 63,69,884 96,67 7,9, AHages $ 785, and All ages $ 67,4 3,3 34,4 44,8 5,96 7,37,4 43,449 5,3 78,474 4, $ 958,8 55

56 TABLE E--FEMALE LIVEs--Continued Issue Year Ages at Exposed Actual Expected Mortality (Policy Year) Issue to Risk Ratio (3) () () All years... (-5) and $ 7,97 5,955 37,369 49,86 57,6 9,685 58,978 7,4.83 6,997 8,85 6, $ lo3 lo $ % o 3 o7 5o All ages $,9,486 $ 695 $ 577 5~ and $ 8,344 7,989 43,393 54,649 63,84. 7,939 33,75 6,73 45,47 88,557 8,79,7 84 $ 67 $ ~"~ All ages $,343,6 $ 537 $ 56 96% and $ 95,49 33,39 5,76 65,35 73, ,36 5,84 37,4,9 3,59 44, 3, $ $ ~ 4 95% All ages $,875,57 $ 878 $ 753 7~ and $ 964, ,794 46,79 484,55 59,37,68,69,68,977,443,486,45,7 8,59 76,349,47,9 $ " 675,,77,65, $ ,8 83,87, % All ages $,68,894 $6,84 $6,37 8~ * One female war death for $, is included. 56

57 STANDARD ORDINARY INSURANCE 57 APPENDIX II DEFINITION OF "WAR DEATHS" deaths are identified by the 96 Committee Code 99. In coding for war deaths, some companies may refer to the Report of Casualty form furnished by the various armed forces. Item of this form has two boxes to indicate whether death arose in "battle" or in "non-battle." In addition to all "battle" deaths, it should be noted that many (but not all) "non-battle" deaths should be coded 99. For example, a death arising after battle, but due to burns received in battle, may be coded by the gnment as a "non-battle" death. In cases like this, a review of the comments given in Item is necessary to determine the full facts and whether" death was due to the operations of war and hence a code 99. Questions may arise with regard to the coding of military service deaths outside the combat area which may nevertheless be attributable to the Vietnam operation. For example, a plane on the way to Vietnam may crash far outside the Vietnam area, or a death in Japan may be the result of activity for the benefit of the Vietnam engagement. Such deaths should be treated as due to the operations of war and coded 99. Military service deaths which cannot be tied in with the Vietnam engagement should not be treated as due to operations of war. For example, the Committee Code 89 would apply to a death resulting from a plane crash in Germany. occurring in the United States and Canada, not tied in with the Vietnam engagement, should also be assumed not due to war. Due to the relatively low death rate from disease among troops in Vietnam, no deaths from disease should be considered as war deaths.